As part of the green transition, we are advising our clients every day on how they can reduce their carbon emissions with our design and advisory services. It goes without saying that WSP has its own responsibilities and targets to meet, and we too are on the journey to becoming net zero. We first set a reduction target back in 2018. Last year, we increased our ambition, in line with fast-moving climate science. Our updated targets have been approved by the Science Based Targets initiative (SBTi), aligning WSP with the most ambitious aim of the Paris Agreement, to limit global temperature rise to 1.5°C.
Having formalised those objectives we are now moving from the ‘what’ to the ‘how’. We have established a net zero task force and published a climate transition plan, and are continuing to assess and implement strategies to reduce GHG emissions. Earlier this year we issued our first standalone Task Force on Climate-related Financial Disclosures (TCFD) report, which addresses the potential impacts of climate change on our business. The report highlights how we are embedding climate-related considerations into our operations.
I am pleased to share that our initial reduction efforts are already paying dividends. In 2021, despite a partial economic rebound post-COVID, we cut our scope 1 and 2 emissions versus our 2018 baseline by 39%, and our scope 3 emissions by 12% during the same time period.
WSP has been widely recognized as a leading ESG services provider. What is next?
From an ESG perspective, our commitment and ambitions for the future remain no less bold, as demonstrated in our recently launched 2022-2024 Global Strategic Action Plan. Our plan is underpinned by the three biggest drivers impacting society today, namely ESG, Innovation and Technology. We are focused on reinforcing and extending our leadership position, in line with those drivers, so that we continue to play a pivotal role in the decades ahead in achieving a sustainable, equitable and prosperous future for our employees, clients and communities.
Recognizing the importance of ESG to business success, in 2022 we introduced a strategic multiplier in our short-term incentive plan focused on the achievement of six specific key strategic objectives, primarily related to our ESG initiatives.
